coca cola vietnam case study

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Coca-Cola in Vietnam

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Coca-Cola in Vietnam

By: Joel Goh, Ananth Raman

• Length: 20 page(s)
• Publication Date: Jun 6, 2016
• Discipline: Operations Management
• Product #: 616063-PDF-ENG

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Jun 6, 2016

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Marketing strategy of coca cola in the vietnamese market.

Coca-Cola is the most popular beverage brand in Vietnam with 51% of the carbonated beverage market share according to Kantar Worldpanel’s 2020 report. To get to its current position, Coca-Cola has implemented strategies Marketing ranges from creative advertising campaigns, to diversifying products and creating unique experiences for consumers.

This article will detail   Coca-Cola’s marketing strategies  in Vietnam and how to help this brand become one of the favorite brands in the Vietnamese beverage market.

Part I: Overview of Coca Cola Vietnam

Coca Cola is one of the most famous beverage brands worldwide and has been present in Vietnam since the 1960s. However, in the first years, Coca-Cola was only present in supermarkets and hotels. in big cities like Hanoi and Saigon.

Since 1994, Coca-Cola officially invested in the Vietnamese market with the establishment of Coca-Cola Vietnam Company Limited and began producing and distributing its products. To date, Coca-Cola is present in most provinces and cities in Vietnam and is one of the most popular beverage brands.

During the development process in Vietnam, Coca-Cola has developed 8 main beverage groups and continuously launched new products suitable to the tastes of Vietnamese consumers such as Coca-Cola Lemona, Fanta Sarsi, Fanta peach, Aquarius and Minute Maid. In addition, Coca-Cola also carries out a series of resonant brand love activities to increase love for the brand such as “Share a coke with” or annual Tet campaigns.

• Analyzing Coca-Cola’s international business strategy
• Positioning Coca Cola’s target market in Vietnam
• Distribution strategy of Coca Cola in Vietnam

Part II  :   Analyze the overall marketing strategy of   Coca-Cola in Vietnam 

Coca-Cola’s overall marketing strategy is unified and closely linked from market segmentation, target market identification, brand positioning to product portfolio development, pricing, and channel building. distribute and implement marketing and promotion programs.

1. Coca-Cola’s brand positioning strategy 

1.1 market segmentation .

Just like how Coca-Cola covers the global market, in Vietnam, the brand has targeted many customer groups. The company’s segmentation process focuses on two main criteria, which are geographic area and demographics

Geographically,   Coca-Cola Vietnam has established a dense distribution network across the country, from urban areas to rural areas, from plains to mountainous areas and from South to North. Products are widely sold in bars, supermarkets, grocery stores and even on streets and alleys, helping Coca-Cola reach customers in many different geographical locations.

Demographically  , Coca-Cola targets different customer groups, including children, youth, middle-aged people, and the elderly. To attract each customer group, this brand applies different marketing tactics such as developing appropriate product lines or using diverse and unique advertising campaigns.

Coca-Cola’s market segmentation strategy has allowed the brand to penetrate different market segments and satisfy diverse customer preferences and needs. The ability to create a positive brand image for each segment has helped Coca-Cola maintain its position as one of the leading beverage brands in Vietnam.

1.2 Select target market  

Before expanding operations into the Vietnamese market, Coca-Cola focused on market segments with high demand and high population density. This brand was very wise to focus on big cities like Hanoi, Da Nang and Ho Chi Minh City. After   researching the market  , Coca-Cola determined that these cities have very high consumption of their products.

Besides the population density factor when choosing target markets, Coca-Cola Vietnam also focuses on population characteristics, especially young people with high product demand.

Thanks to this smart target market selection, Coca-Cola has been able to reach different market segments and meet the diverse needs and preferences of customers. The company has built a positive brand image in each market segment and helped maintain its position as one of the leading beverage brands in Vietnam.

1.3 Brand positioning

About 94% of the population worldwide knows the red and white logo of Coca-Cola and “Coca-Cola” is the second most widely understood word in the United States, after the word “OK” (according to Forbes research). . When mentioning carbonated drinks, people often think of Coca-Cola. Coca-Cola is considered one of the leaders of the industry.

Coca-Cola’s commitment is to bring benefit and refreshment to all customers with the slogan: “Our customers around the world deserve to enjoy the best quality drinks.” ”.

Coca-Cola’s brand positioning is based on a number of core values ​​such as fun, connection and diversity. The brand always wants to convey to customers a positive message and connection between generations. This core value has been inherited and promoted by Coca Cola in Vietnam to suit the selected diverse target market.

2. Product strategy 

According to the market coverage strategy, Coca-Cola builds a product strategy that is diverse in both types and sizes, meeting the needs of many   target customer  groups .

2.1 Product list 

Currently, the Coca-Cola brand in Vietnam provides many different types of products, including carbonated beverages, carbonated juices, non-carbonated water, and energy products.

According to data from Coca-Cola Vietnam, this brand currently has about 40 different SKUs. This is a fairly large number and shows the diversity of Coca-Cola’s product portfolio in Vietnam.

Coca-Cola constantly develops its product portfolio to meet customer needs. The brand always researches and tests new products to provide the best options for consumers. For example, Coca-Cola has launched new products such as Coca-Cola Zero Sugar, Coca with pure coffee or Fanta Lemon.

Regarding carbonated beverages, brands such as Coca-Cola Classic, Sprite and Fanta are very popular with Vietnamese consumers, especially young people. Non-carbonated beverages such as Minute Maid and Aquarius are targeted at health-conscious customers who prefer low-calorie drinks. The brand’s energy drink is Burn, which is marketed to people who love sports and being active.

2.2 Packaging

Coca-Cola in Vietnam not only focuses on product types but also on packaging. The product’s style and design have flexible and creative changes.

The brand offers a variety of packaging sizes from 250ml to 2.25 liters to suit a variety of customer needs. The small bottles are great for on-the-go use, while the large bottles are ideal for family gatherings and parties.

Coca-Cola bottle packaging is also designed to be diverse and flexible, with creative logo designs that change according to special occasions. Coca-Cola is always improving and creating more unique and convenient designs. The brand also received the Platinum Pentaward 2009 award for its beautiful and unique packaging design.

An example of Coca-Cola’s creativity in packaging design is the use of the “swallow” image in many products including boxes of 24 cans of Coca-Cola, Sprite, Fanta, pairs of two Coca-Cola PET bottles of type 1 .25 liter and set of 6 cans of Coca-Cola during Tet. Because the swallow is the symbol of spring.

With creatively designed, diverse and convenient products, Coca-Cola has attracted a large number of customers and increased brand recognition.

3. Pricing strategy

Coca-Cola Vietnam uses a combined pricing strategy to achieve maximum value for its products. Coca-Cola Vietnam’s pricing strategy includes differential pricing, psychological pricing, distribution channel pricing and promotional pricing.

3.1 Price discrimination  

#1: Differentiation by product line  : Coca Cola applies different prices for different products. For example, the price of a limited collection will be higher than that of regular products. At the same time, the price of Coca Cola also depends on the type of product packaging, including plastic bottles, glass bottles, aluminum cans, etc. Each type of packaging will have an appropriate price to meet the needs and income of customers. row.

#2: Geographic differentiation:   Different geographical regions have different consumer characteristics and market penetration strategies. Therefore, Coca Cola’s product prices will be adjusted to suit the market. For example, the price of Coca Cola products in rural areas will be lower than in big cities.

>> See more: Detailed analysis of Coca Cola’s pricing strategy

3.2 Psychological price

Coca Cola Vietnam also uses a psychological pricing strategy by setting retail prices and providing different price options depending on the quantity purchased. Customers are offered lower prices per unit when purchasing in bulk, such as by the case or box, versus purchasing individual bottles or cans. This pricing strategy targets the needs of customers who want the best value for their money and encourages them to buy more products.

By offering lower prices per unit when purchased in bulk, Coca Cola Vietnam can tap into the needs of customers who want to save money and optimize their costs. This strategy also encourages customers to consume more Coca Cola products. This can increase customer loyalty and lead to future repeat purchases.

Additionally, this pricing strategy can also be effective in increasing Coca Cola Vietnam’s sales, as customers tend to buy large quantities of products at lower prices per unit. This can help maximize Coca Cola Vietnam’s revenue while providing greater value to customers.

3.3 Price by distribution channel  

The pricing strategy by distribution channel is applied by Coca-Cola to suit the different characteristics and distribution operating costs of each channel. Coca-Cola Vietnam has a wide and diverse distribution channel system including supermarkets, hypermarkets, restaurants and grocery stores…

Retail prices at hypermarkets, supermarkets and restaurants will be higher than retail prices at grocery stores or traditional points of sale. This is because the distribution operating costs of these channels are higher than other retail channels.

In addition, Coca Cola’s distribution channel pricing strategy also helps create a distinct product image, bringing higher value to customers when using the product in high-quality sales channels.

3.4 Promotional price 

Promotional pricing strategy is an indispensable part of Coca-Cola Vietnam’s pricing.  The brand deploys many sales discount  programs   to encourage customers to buy in large quantities or pay ahead of time. This helps customers save on purchasing costs, while also motivating them to buy more Coca-Cola products.

For example, Coca-Cola Vietnam has launched the “Buy 1 Get 1 Free” promotion when purchasing any product at retail stores, supermarkets or on the Grab application. This program not only creates attraction for customers to shop, but also helps Coca-Cola increase sales and retain familiar customers.

In addition, Coca-Cola Vietnam also launches promotional programs on special occasions such as Tet, Christmas, National Day, etc. These programs often include giving gifts or free gifts when customers Buy Coca-Cola products. This is a good strategy to stimulate shopping demand and create trust with Coca-Cola customers.

4. Distribution channel strategy 

4.1 designing distribution channels .

Coca-Cola Vietnam has a clear consistency between the goal of market coverage and the strategy of building distribution channels. Therefore, this brand has designed a wide and diverse distribution channel model to ensure products reach every corner of the market.

Coca-Cola’s distribution channel system includes the following channel groups:

• Modern distribution channel (MT)  : Including hypermarkets, supermarkets, mini supermarkets, convenience store systems, etc. Here, Coca-Cola Vietnam uses the strategy of combining sales between Coca-Cola and retail partners, such as Big C, Lotte Mart, Aeon Mall, Circle K, VinMart, MiniStop… This is the widest distribution channel and accounts for a large proportion of Coca-Cola’s sales.
• Traditional distribution channels (GT):   Includes grocery stores, restaurants, bakeries, pharmacy stores, bread shops, etc. Here, Coca-Cola Vietnam focuses on developing small products as compact as cans, 500ml PET bottles, 300ml glass bottles… to suit customer needs in traditional distribution channels.
• Key account (important customers)  : Focus on providing Coca-Cola products to organizations, schools, hospitals, events… Coca-Cola Vietnam has a preferential price policy for key customers account and marketing support to promote product usage.
• HORECA  :   This is a special distribution system for restaurants, hotels and bars. Coca-Cola Vietnam’s partners in this channel are often exclusive distributors. To develop the HORECA channel, Coca-Cola Vietnam provides promotional programs and financial solutions to help distribution partners improve business efficiency.
• Direct distribution  : Coca-Cola Vietnam has deployed online distribution channels through e-commerce sites such as Lazada mall and shopee mall. Customers can order online and have it delivered to their door through this third-party sales platform.

4.2 Develop distribution channels  

Coca-Cola Vietnam always focuses on developing its distribution channel system through special policies and incentives.

One of Coca-Cola Vietnam’s policies is to offer special promotions and discounts for agents and distributors who buy in large quantities. In addition, the company also focuses on training and supporting distributors to improve capacity and quality of distribution services, while also supporting sales tools such as signs and POSM.

A specific example of Coca-Cola Vietnam’s distribution channel development is cooperating with local distributors to expand distribution channels in rural areas. By collaborating with local partners, Coca-Cola Vietnam has been able to reach customers in previously remote and difficult-to-reach areas. This is a very effective strategy to expand the market and increase sales of Coca-Cola.

5. Mixed Promotion Strategy (Promotion) 

Coca-Cola is one of the few businesses that spends an amount of money equivalent to production costs on advertising and polishing its brand name since its inception.

In Vietnam, Coca-Cola always invests in its product advertising strategies. Brand marketing and Trade marketing activities are always closely linked to bring high efficiency. Programs at retail locations are always accompanied by a specific brand communication campaign.

5.1 Brand marketing activities

5.1.1 marketing communication channels.

Coca-Cola Vietnam uses many marketing communication channels to promote products and increase brand awareness including:

• Television advertising  : Coca-Cola Vietnam often advertises on popular television channels such as VTV, HTV, VTC, THVL,… with short films, advertising clips or special promotional campaigns.
• OOH  advertising   : Coca-Cola Vietnam often places signs and light boxes in prime, crowded locations such as on Le Duan street, East-West avenue, Ton Duc Thang, on market streets and roads. walk.

• Advertising on social networks:   Brands also use social networks such as Facebook, Instagram, YouTube to promote products through clips, articles or online contests.
• Events:   organize events such as the Coke Studio music festival, the activity program “Joyful Tet Journey”, the program “Have fun with Coca-Cola” at shopping centers and restaurants , hotel…

5.1.2 Typical communication campaign “Share a coke” 

“Share a coke” is a successful campaign of Coca-Cola Vietnam because it has tapped into consumer psychology, understood what they need and personalized the product to bring consumers new and exciting experiences. the best.

Campaign context:   With the development of social networks, Coca-Cola has taken advantage of   social media marketing  trends  to interact with customers and young people. The “Share a Coke” campaign was launched in the summer of 2011 to encourage users to interact with the Coca-Cola brand and share images of Coca-Cola bottles printed with users’ names on social networks.

Marketing goals:   When implementing the “Share a Coke” campaign, Coca-Cola has the following two main goals:

• Marketing Objective  : Coca-Cola needs to bring about interaction on both online and offline channels. The campaign needs to encourage target customers under the age of 24 to pay attention and talk about soft drink bottles, thereby boosting sales to reach peak summer sales.
• Goal of increasing brand recognition  : Coca-Cola wants customers to share Coca bottles with each other and post photos of those Coca bottles on social networks to increase brand recognition widely.

Big idea  : Through the “Share a Coke with” campaign, Coca-Cola wants to connect with customers through printing their names on Coca-Cola bottles, creating a unique and personalized interactive experience for consumers.

Implementation process  : Coca-Cola produced Coca-Cola bottles with popular Vietnamese names, and called on customers to share their feelings when receiving bottles with their name through social media and advertising channels. television report.

The main message of the campaign is: “Connect, reunite and share comfortable moments together with Coca.” This message focuses mainly on groups of young people who regularly use social networks and post photos on social networks.

When the campaign started, customers were very excited and flocked to stores to hunt for their favorite bottles of Coca-Cola. Customers are also excited to share their results with friends, family and relatives on social networks. Every day there are tens of thousands of shares on different social networking platforms. Coca-Cola also arranged new Kiosks for sales and invited customers to share products on social networks.

Campaign results  : The “Share a coke” campaign in Vietnam was a resounding success. More than 500,000 images with the hashtag #ShareaCoke have been shared. As of September 2015, there were more than 6 million photos shared by its customers. In addition, through this campaign, Coca-Cola has gained nearly 25 million followers on Facebook. The company successfully sold 250 million bottles of Coca-Cola in just one summer.

5.2 Trade marketing (Marketing at point of sale)

Coca Cola Vietnam has deployed many trade marketing activities to increase interaction and promote sales at retail locations.

5.2.1 Consumer promotion (program for final consumers) 

Coca Cola regularly deploys promotions and gifts for end consumers when running media campaigns or on special occasions such as Tet holidays. We can mention the program “Enjoy the summer atmosphere, receive instant gifts” with attractive gifts such as Coca Cola ceramic cups, crossbody bags, beach balls, paper clips,…

5.2.2 Customer engagement (program for distributors and retailers)

A series of Trade marketing forms are offered by the Coca-Cola team to build relationships and develop Customers such as:

• Discounts:   Coca Cola creates attractive discount policies for distributors and retailers to attract them to sell Coca Cola products such as direct discounts based on quantity, product combos…
• POSM (Point-of-sale materials)  : Coca Cola provides a variety of advertising materials such as signs, billboards, product display shelves… to decorate and promote at retail locations.
• Distributor travel bonus:   The program rewards distributors with high sales volume, and rewards retailers with sales growth over a specific period.

For example, Coca Cola launched the “Every Cup Has a Chance” promotion in 2021, with T-shirt giveaways and the chance to win lucky draw prizes. At the same time, during the program, Coca Cola also provides POSM and attractive discount incentives and organizes a reward program for distributors and retailers who achieve high sales.

6. Secrets to building a successful marketing strategy for Coca Cola Vietnam and lessons learned for Vietnamese FMCG businesses

Coca-Cola Vietnam has succeeded in building a leading brand position in the market thanks to its consistent and methodical marketing strategy:

• Building brand identity  : Coca-Cola becomes a cultural and lifestyle symbol of Vietnamese youth through creative advertising campaigns, such as “Taste the Feeling” and “Share a Coke”. These are campaigns that bring the core value “Happiness” into the user experience, promoting emotions and interaction, contributing to building a close relationship between customers and brands.
• Continuous change and diversification  : Coca-Cola continuously researches and launches new product lines to meet the changing needs of customers and are suitable for Vietnamese culture such as Tet packaging.
• Market coverage  : Develop a dense distribution network, increase interaction and support partners, agents, and distributors to increase Coca-Cola’s presence in the market.

Lessons learned from Coca-Cola Vietnam’s marketing strategy for Vietnamese FMCG businesses is to focus on building a strong brand and sustainable growth through consistent, focused, creative marketing strategies. creative and effective. Along with brand building is the development of the distribution network according to the initial positioning strategy.

Coca-Cola’s marketing strategy   is proof of the success of a famous global brand when applied in Vietnam. By incorporating brand identity into creative advertising campaigns, diversifying products and developing distribution channels, Coca-Cola has achieved a solid position in the hearts of Vietnamese consumers. This will be a typical case study for Vietnamese FMCG businesses to learn and apply.

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Case Description Coca-Cola in Vietnam

Strategic managment tools used in case study analysis of coca-cola in vietnam, step 1. problem identification in coca-cola in vietnam case study, step 2. external environment analysis - pestel / pest / step analysis of coca-cola in vietnam case study, step 3. industry specific / porter five forces analysis of coca-cola in vietnam case study, step 4. evaluating alternatives / swot analysis of coca-cola in vietnam case study, step 5. porter value chain analysis / vrio / vrin analysis coca-cola in vietnam case study, step 6. recommendations coca-cola in vietnam case study, step 7. basis of recommendations for coca-cola in vietnam case study, quality & on time delivery.

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Case Analysis of Coca-Cola in Vietnam

Coca-Cola in Vietnam is a Harvard Business (HBR) Case Study on Technology & Operations , Texas Business School provides HBR case study assignment help for just $9. Texas Business School(TBS) case study solution is based on HBR Case Study Method framework, TBS expertise & global insights. Coca-Cola in Vietnam is designed and drafted in a manner to allow the HBR case study reader to analyze a real-world problem by putting reader into the position of the decision maker. Coca-Cola in Vietnam case study will help professionals, MBA, EMBA, and leaders to develop a broad and clear understanding of casecategory challenges. Coca-Cola in Vietnam will also provide insight into areas such as – wordlist , strategy, leadership, sales and marketing, and negotiations.

Case Study Solutions Background Work

Coca-Cola in Vietnam case study solution is focused on solving the strategic and operational challenges the protagonist of the case is facing. The challenges involve – evaluation of strategic options, key role of Technology & Operations, leadership qualities of the protagonist, and dynamics of the external environment. The challenge in front of the protagonist, of Coca-Cola in Vietnam, is to not only build a competitive position of the organization but also to sustain it over a period of time.

Strategic Management Tools Used in Case Study Solution

The Coca-Cola in Vietnam case study solution requires the MBA, EMBA, executive, professional to have a deep understanding of various strategic management tools such as SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis.

Texas Business School Approach to Technology & Operations Solutions

In the Texas Business School, Coca-Cola in Vietnam case study solution – following strategic tools are used - SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis. We have additionally used the concept of supply chain management and leadership framework to build a comprehensive case study solution for the case – Coca-Cola in Vietnam

Step 1 – Problem Identification of Coca-Cola in Vietnam - Harvard Business School Case Study

The first step to solve HBR Coca-Cola in Vietnam case study solution is to identify the problem present in the case. The problem statement of the case is provided in the beginning of the case where the protagonist is contemplating various options in the face of numerous challenges that Vietnam Coca is facing right now. Even though the problem statement is essentially – “Technology & Operations” challenge but it has impacted by others factors such as communication in the organization, uncertainty in the external environment, leadership in Vietnam Coca, style of leadership and organization structure, marketing and sales, organizational behavior, strategy, internal politics, stakeholders priorities and more.

Step 2 – External Environment Analysis

Texas Business School approach of case study analysis – Conclusion, Reasons, Evidences - provides a framework to analyze every HBR case study. It requires conducting robust external environmental analysis to decipher evidences for the reasons presented in the Coca-Cola in Vietnam. The external environment analysis of Coca-Cola in Vietnam will ensure that we are keeping a tab on the macro-environment factors that are directly and indirectly impacting the business of the firm.

What is PESTEL Analysis? Briefly Explained

PESTEL stands for political, economic, social, technological, environmental and legal factors that impact the external environment of firm in Coca-Cola in Vietnam case study. PESTEL analysis of " Coca-Cola in Vietnam" can help us understand why the organization is performing badly, what are the factors in the external environment that are impacting the performance of the organization, and how the organization can either manage or mitigate the impact of these external factors.

How to do PESTEL / PEST / STEP Analysis? What are the components of PESTEL Analysis?

As mentioned above PESTEL Analysis has six elements – political, economic, social, technological, environmental, and legal. All the six elements are explained in context with Coca-Cola in Vietnam macro-environment and how it impacts the businesses of the firm.

How to do PESTEL Analysis for Coca-Cola in Vietnam

To do comprehensive PESTEL analysis of case study – Coca-Cola in Vietnam , we have researched numerous components under the six factors of PESTEL analysis.

Political Factors that Impact Coca-Cola in Vietnam

Political factors impact seven key decision making areas – economic environment, socio-cultural environment, rate of innovation & investment in research & development, environmental laws, legal requirements, and acceptance of new technologies.

Government policies have significant impact on the business environment of any country. The firm in “ Coca-Cola in Vietnam ” needs to navigate these policy decisions to create either an edge for itself or reduce the negative impact of the policy as far as possible.

Data safety laws – The countries in which Vietnam Coca is operating, firms are required to store customer data within the premises of the country. Vietnam Coca needs to restructure its IT policies to accommodate these changes. In the EU countries, firms are required to make special provision for privacy issues and other laws.

Competition Regulations – Numerous countries have strong competition laws both regarding the monopoly conditions and day to day fair business practices. Coca-Cola in Vietnam has numerous instances where the competition regulations aspects can be scrutinized.

Import restrictions on products – Before entering the new market, Vietnam Coca in case study Coca-Cola in Vietnam" should look into the import restrictions that may be present in the prospective market.

Export restrictions on products – Apart from direct product export restrictions in field of technology and agriculture, a number of countries also have capital controls. Vietnam Coca in case study “ Coca-Cola in Vietnam ” should look into these export restrictions policies.

Foreign Direct Investment Policies – Government policies favors local companies over international policies, Vietnam Coca in case study “ Coca-Cola in Vietnam ” should understand in minute details regarding the Foreign Direct Investment policies of the prospective market.

Corporate Taxes – The rate of taxes is often used by governments to lure foreign direct investments or increase domestic investment in a certain sector. Corporate taxation can be divided into two categories – taxes on profits and taxes on operations. Taxes on profits number is important for companies that already have a sustainable business model, while taxes on operations is far more significant for companies that are looking to set up new plants or operations.

Tariffs – Chekout how much tariffs the firm needs to pay in the “ Coca-Cola in Vietnam ” case study. The level of tariffs will determine the viability of the business model that the firm is contemplating. If the tariffs are high then it will be extremely difficult to compete with the local competitors. But if the tariffs are between 5-10% then Vietnam Coca can compete against other competitors.

Research and Development Subsidies and Policies – Governments often provide tax breaks and other incentives for companies to innovate in various sectors of priority. Managers at Coca-Cola in Vietnam case study have to assess whether their business can benefit from such government assistance and subsidies.

Consumer protection – Different countries have different consumer protection laws. Managers need to clarify not only the consumer protection laws in advance but also legal implications if the firm fails to meet any of them.

Political System and Its Implications – Different political systems have different approach to free market and entrepreneurship. Managers need to assess these factors even before entering the market.

Freedom of Press is critical for fair trade and transparency. Countries where freedom of press is not prevalent there are high chances of both political and commercial corruption.

Corruption level – Vietnam Coca needs to assess the level of corruptions both at the official level and at the market level, even before entering a new market. To tackle the menace of corruption – a firm should have a clear SOP that provides managers at each level what to do when they encounter instances of either systematic corruption or bureaucrats looking to take bribes from the firm.

Independence of judiciary – It is critical for fair business practices. If a country doesn’t have independent judiciary then there is no point entry into such a country for business.

Government attitude towards trade unions – Different political systems and government have different attitude towards trade unions and collective bargaining. The firm needs to assess – its comfort dealing with the unions and regulations regarding unions in a given market or industry. If both are on the same page then it makes sense to enter, otherwise it doesn’t.

Economic Factors that Impact Coca-Cola in Vietnam

Social factors that impact coca-cola in vietnam, technological factors that impact coca-cola in vietnam, environmental factors that impact coca-cola in vietnam, legal factors that impact coca-cola in vietnam, step 3 – industry specific analysis, what is porter five forces analysis, step 4 – swot analysis / internal environment analysis, step 5 – porter value chain / vrio / vrin analysis, step 6 – evaluating alternatives & recommendations, step 7 – basis for recommendations, references :: coca-cola in vietnam case study solution.

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Coca-Cola Vietnam Case Study

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Experiment: How Coca-Cola Vietnam made their ad strategy more efficient by pushing YouTube’s reach

What we set out to test.

Can YouTube video ads at scale continue to unlock efficient nationwide reach and brand impact in addition to TV campaigns?

The background

Coca-Cola , one of the world’s leading beverage brands, has long been leveraging TV and YouTube as a key channel to reach mass audiences. However, for its Vietnamese audience, Coca-Cola wanted to shake things up by finding ways to connect with its audience more effectively, particularly younger consumers.

As more Vietnamese consumers are turning to YouTube to shop, browse, and buy , Coca-Cola decided to explore if increasing investment in YouTube could still unlock incremental reach and impact efficiently, particularly in helping the brand reach younger audiences nationwide.

How we set the experiment up

The team set up 2 separate TV and YouTube campaigns for its target audience of consumers aged 18 to 34 years old.

• TV: TV campaign (comprising 70% of media budget)
• YouTube: TrueView for Reach and Bumper Ads campaigns (comprising 30% of media budget)

The experiment ran in Vietnam for a period of 1 month. In addition, Coca-Cola utilized cross-media reach reporting to measure the probability of reaching a unique user at least once across their TV and YouTube campaigns. This allowed Coca-Cola to observe the unique increase in reach that YouTube campaigns add to TV campaigns, showing the true impact of YouTube.

Solutions we used

• TrueView for Reach
• Cross-Media Reach report ( Available in select markets. Reach out to your sales representative for more information )

What we learned

Overall the campaign delivered 67% nationwide reach across both TV and YouTube campaigns for audiences aged 18 to 34.

When comparing the impact of TV and YouTube across the country, Coca-Cola found that the YouTube campaign connected with more consumers and delivered the following results:

All in all, a TV-plus-YouTube combined media approach continues to unlock incremental nationwide reach and brand impact. Coca-Cola’s research also further proved that YouTube helps advertisers reach their core audience at a significantly lower cost per reach in comparison to TV.

This experiment proved to Coca-Cola that YouTube is a key resource to invest in , particularly when looking to connect with younger audiences who are spending more time online . With these insights, Coca-Cola Vietnam has since implemented this strategy as a mainstay for all future campaigns.

"Through this experiment, we’ve been able to see and measure how YouTube can deliver not just 28% incremental reach but also efficiently reach one-third the cost per reach of what we’re seeing for TV. This has proven to us that YouTube is a crucial platform for cross-screen planning to help Coca-Cola reach our target audiences nationwide effectively.”

This case study is part of the Experiment with Google Ads program.

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Coca-Cola in Vietnam Case Analysis and Case Solution

Posted by Peter Williams on Aug-09-2018

Introduction of Coca-Cola in Vietnam Case Solution

The Coca-Cola in Vietnam case study is a Harvard Business Review case study, which presents a simulated practical experience to the reader allowing them to learn about real life problems in the business world. The Coca-Cola in Vietnam case consisted of a central issue to the organization, which had to be identified, analysed and creative solutions had to be drawn to tackle the issue. This paper presents the solved Coca-Cola in Vietnam case analysis and case solution. The method through which the analysis is done is mentioned, followed by the relevant tools used in finding the solution.

The case solution first identifies the central issue to the Coca-Cola in Vietnam case study, and the relevant stakeholders affected by this issue. This is known as the problem identification stage. After this, the relevant tools and models are used, which help in the case study analysis and case study solution. The tools used in identifying the solution consist of the SWOT Analysis, Porter Five Forces Analysis, PESTEL Analysis, VRIO analysis, Value Chain Analysis, BCG Matrix analysis, Ansoff Matrix analysis, and the Marketing Mix analysis. The solution consists of recommended strategies to overcome this central issue. It is a good idea to also propose alternative case study solutions, because if the main solution is not found feasible, then the alternative solutions could be implemented. Lastly, a good case study solution also includes an implementation plan for the recommendation strategies. This shows how through a step-by-step procedure as to how the central issue can be resolved.

Problem Identification of Coca-Cola in Vietnam Case Solution

Harvard Business Review cases involve a central problem that is being faced by the organization and these problems affect a number of stakeholders. In the problem identification stage, the problem faced by Coca-Cola in Vietnam is identified through reading of the case. This could be mentioned at the start of the reading, the middle or the end. At times in a case analysis, the problem may be clearly evident in the reading of the HBR case. At other times, finding the issue is the job of the person analysing the case. It is also important to understand what stakeholders are affected by the problem and how. The goals of the stakeholders and are the organization are also identified to ensure that the case study analysis are consistent with these.

Analysis of the Coca-Cola in Vietnam HBR Case Study

The objective of the case should be focused on. This is doing the Coca-Cola in Vietnam Case Solution. This analysis can be proceeded in a step-by-step procedure to ensure that effective solutions are found.

• In the first step, a growth path of the company can be formulated that lays down its vision, mission and strategic aims. These can usually be developed using the company history is provided in the case. Company history is helpful in a Business Case study as it helps one understand what the scope of the solutions will be for the case study.
• The next step is of understanding the company; its people, their priorities and the overall culture. This can be done by using company history. It can also be done by looking at anecdotal instances of managers or employees that are usually included in an HBR case study description to give the reader a real feel of the situation.
• Lastly, a timeline of the issues and events in the case needs to be made. Arranging events in a timeline allows one to predict the next few events that are likely to take place. It also helps one in developing the case study solutions. The timeline also helps in understanding the continuous challenges that are being faced by the organisation.

SWOT analysis of Coca-Cola in Vietnam

An important tool that helps in addressing the central issue of the case and coming up with Coca-Cola in Vietnam HBR case solution is the SWOT analysis.

• The SWOT analysis is a strategic management tool that lists down in the form of a matrix, an organisation's internal strengths and weaknesses, and external opportunities and threats. It helps in the strategic analysis of Coca-Cola in Vietnam.
• Once this listing has been done, a clearer picture can be developed in regards to how strategies will be formed to address the main problem. For example, strengths will be used as an advantage in solving the issue.

Therefore, the SWOT analysis is a helpful tool in coming up with the Coca-Cola in Vietnam Case Study answers. One does not need to remain restricted to using the traditional SWOT analysis, but the advanced TOWS matrix or weighted average SWOT analysis can also be used.

Porter Five Forces Analysis for Coca-Cola in Vietnam

Another helpful tool in finding the case solutions is of Porter's Five Forces analysis. This is also a strategic tool that is used to analyse the competitive environment of the industry in which Coca-Cola in Vietnam operates in. Analysis of the industry is important as businesses do not work in isolation in real life, but are affected by the business environment of the industry that they operate in. Harvard Business case studies represent real-life situations, and therefore, an analysis of the industry's competitive environment needs to be carried out to come up with more holistic case study solutions. In Porter's Five Forces analysis, the industry is analysed along 5 dimensions.

• These are the threats that the industry faces due to new entrants.
• It includes the threat of substitute products.
• It includes the bargaining power of buyers in the industry.
• It includes the bargaining power of suppliers in an industry.
• Lastly, the overall rivalry or competition within the industry is analysed.

This tool helps one understand the relative powers of the major players in the industry and its overall competitive dynamics. Actionable and practical solutions can then be developed by keeping these factors into perspective.

PESTEL Analysis of Coca-Cola in Vietnam

Another helpful tool that should be used in finding the case study solutions is the PESTEL analysis. This also looks at the external business environment of the organisation helps in finding case study Analysis to real-life business issues as in HBR cases.

• The PESTEL analysis particularly looks at the macro environmental factors that affect the industry. These are the political, environmental, social, technological, environmental and legal (regulatory) factors affecting the industry.
• Factors within each of these 6 should be listed down, and analysis should be made as to how these affect the organisation under question.
• These factors are also responsible for the future growth and challenges within the industry. Hence, they should be taken into consideration when coming up with the Coca-Cola in Vietnam case solution.

VRIO Analysis of Coca-Cola in Vietnam

This is an analysis carried out to know about the internal strengths and capabilities of Coca-Cola in Vietnam. Under the VRIO analysis, the following steps are carried out:

• The internal resources of Coca-Cola in Vietnam are listed down.
• Each of these resources are assessed in terms of the value it brings to the organization.
• Each resource is assessed in terms of how rare it is. A rare resource is one that is not commonly used by competitors.
• Each resource is assessed whether it could be imitated by competition easily or not.
• Lastly, each resource is assessed in terms of whether the organization can use it to an advantage or not.

The analysis done on the 4 dimensions; Value, Rareness, Imitability, and Organization. If a resource is high on all of these 4, then it brings long-term competitive advantage. If a resource is high on Value, Rareness, and Imitability, then it brings an unused competitive advantage. If a resource is high on Value and Rareness, then it only brings temporary competitive advantage. If a resource is only valuable, then it’s a competitive parity. If it’s none, then it can be regarded as a competitive disadvantage.

Value Chain Analysis of Coca-Cola in Vietnam

The Value chain analysis of Coca-Cola in Vietnam helps in identifying the activities of an organization, and how these add value in terms of cost reduction and differentiation. This tool is used in the case study analysis as follows:

• The firm’s primary and support activities are listed down.
• Identifying the importance of these activities in the cost of the product and the differentiation they produce.
• Lastly, differentiation or cost reduction strategies are to be used for each of these activities to increase the overall value provided by these activities.

Recognizing value creating activities and enhancing the value that they create allow Coca-Cola in Vietnam to increase its competitive advantage.

BCG Matrix of Coca-Cola in Vietnam

The BCG Matrix is an important tool in deciding whether an organization should invest or divest in its strategic business units. The matrix involves placing the strategic business units of a business in one of four categories; question marks, stars, dogs and cash cows. The placement in these categories depends on the relative market share of the organization and the market growth of these strategic business units. The steps to be followed in this analysis is as follows:

• Identify the relative market share of each strategic business unit.
• Identify the market growth of each strategic business unit.
• Place these strategic business units in one of four categories. Question Marks are those strategic business units with high market share and low market growth rate. Stars are those strategic business units with high market share and high market growth rate. Cash Cows are those strategic business units with high market share and low market growth rate. Dogs are those strategic business units with low market share and low growth rate.
• Relevant strategies should be implemented for each strategic business unit depending on its position in the matrix.

The strategies identified from the Coca-Cola in Vietnam BCG matrix and included in the case pdf. These are either to further develop the product, penetrate the market, develop the market, diversification, investing or divesting.

Ansoff Matrix of Coca-Cola in Vietnam

Ansoff Matrix is an important strategic tool to come up with future strategies for Coca-Cola in Vietnam in the case solution. It helps decide whether an organization should pursue future expansion in new markets and products or should it focus on existing markets and products.

• The organization can penetrate into existing markets with its existing products. This is known as market penetration strategy.
• The organization can develop new products for the existing market. This is known as product development strategy.
• The organization can enter new markets with its existing products. This is known as market development strategy.
• The organization can enter into new markets with new products. This is known as a diversification strategy.

The choice of strategy depends on the analysis of the previous tools used and the level of risk the organization is willing to take.

Marketing Mix of Coca-Cola in Vietnam

Coca-Cola in Vietnam needs to bring out certain responses from the market that it targets. To do so, it will need to use the marketing mix, which serves as a tool in helping bring out responses from the market. The 4 elements of the marketing mix are Product, Price, Place and Promotions. The following steps are required to carry out a marketing mix analysis and include this in the case study analysis.

• Analyse the company’s products and devise strategies to improve the product offering of the company.
• Analyse the company’s price points and devise strategies that could be based on competition, value or cost.
• Analyse the company’s promotion mix. This includes the advertisement, public relations, personal selling, sales promotion, and direct marketing. Strategies will be devised which makes use of a few or all of these elements.
• Analyse the company’s distribution and reach. Strategies can be devised to improve the availability of the company’s products.

Coca-Cola in Vietnam Blue Ocean Strategy

The strategies devised and included in the Coca-Cola in Vietnam case memo should have a blue ocean strategy. A blue ocean strategy is a strategy that involves firms seeking uncontested market spaces, which makes the competition of the company irrelevant. It involves coming up with new and unique products or ideas through innovation. This gives the organization a competitive advantage over other firms, unlike a red ocean strategy.

Competitors analysis of Coca-Cola in Vietnam

The PESTEL analysis discussed previously looked at the macro environmental factors affecting business, but not the microenvironmental factors. One of the microenvironmental factors are competitors, which are addressed by a competitor analysis. The Competitors analysis of Coca-Cola in Vietnam looks at the direct and indirect competitors within the industry that it operates in.

• This involves a detailed analysis of their actions and how these would affect the future strategies of Coca-Cola in Vietnam.
• It involves looking at the current market share of the company and its competitors.
• It should compare the marketing mix elements of competitors, their supply chain, human resources, financial strength etc.
• It also should look at the potential opportunities and threats that these competitors pose on the company.

Organisation of the Analysis into Coca-Cola in Vietnam Case Study Solution

Once various tools have been used to analyse the case, the findings of this analysis need to be incorporated into practical and actionable solutions. These solutions will also be the Coca-Cola in Vietnam case answers. These are usually in the form of strategies that the organisation can adopt. The following step-by-step procedure can be used to organise the Harvard Business case solution and recommendations:

• The first step of the solution is to come up with a corporate level strategy for the organisation. This part consists of solutions that address issues faced by the organisation on a strategic level. This could include suggestions, changes or recommendations to the company's vision, mission and its strategic objectives. It can include recommendations on how the organisation can work towards achieving these strategic objectives. Furthermore, it needs to be explained how the stated recommendations will help in solving the main issue mentioned in the case and where the company will stand in the future as a result of these.
• The second step of the solution is to come up with a business level strategy. The HBR case studies may present issues faced by a part of the organisation. For example, the issues may be stated for marketing and the role of a marketing manager needs to be assumed. So, recommendations and suggestions need to address the strategy of the marketing department in this case. Therefore, the strategic objectives of this business unit (Marketing) will be laid down in the solutions and recommendations will be made as to how to achieve these objectives. Similar would be the case for any other business unit or department such as human resources, finance, IT etc. The important thing to note here is that the business level strategy needs to be aligned with the overall corporate strategy of the organisation. For example, if one suggests the organisation to focus on differentiation for competitive advantage as a corporate level strategy, then it can't be recommended for the Coca-Cola in Vietnam Case Study Solution that the business unit should focus on costs.
• The third step is not compulsory but depends from case to case. In some HBR case studies, one may be required to analyse an issue at a department. This issue may be analysed for a manager or employee as well. In these cases, recommendations need to be made for these people. The solution may state that objectives that these people need to achieve and how these objectives would be achieved.

The case study analysis and solution, and Coca-Cola in Vietnam case answers should be written down in the Coca-Cola in Vietnam case memo, clearly identifying which part shows what. The Coca-Cola in Vietnam case should be in a professional format, presenting points clearly that are well understood by the reader.

Alternate solution to the Coca-Cola in Vietnam HBR case study

It is important to have more than one solution to the case study. This is the alternate solution that would be implemented if the original proposed solution is found infeasible or impossible due to a change in circumstances. The alternate solution for Coca-Cola in Vietnam is presented in the same way as the original solution, where it consists of a corporate level strategy, business level strategy and other recommendations.

Implementation of Coca-Cola in Vietnam Case Solution

The case study does not end at just providing recommendations to the issues at hand. One is also required to provide how these recommendations would be implemented. This is shown through a proper implementation framework. A detailed implementation framework helps in distinguishing between an average and an above average case study answer. A good implementation framework shows the proposed plan and how the organisations' resources would be used to achieve the objectives. It also lays down the changes needed to be made as well as the assumptions in the process.

• A proper implementation framework shows that one has clearly understood the case study and the main issue within it.
• It shows that one has been clarified with the HBR fundamentals on the topic.
• It shows that the details provided in the case have been properly analysed.
• It shows that one has developed an ability to prioritise recommendations and how these could be successfully implemented.
• The implementation framework also helps by removing out any recommendations that are not practical or actionable as these could not be implemented. Therefore, the implementation framework ensures that the solution to the Coca-Cola in Vietnam Harvard case is complete and properly answered.

Recommendations and Action Plan for Coca-Cola in Vietnam case analysis

For Coca-Cola in Vietnam, based on the SWOT Analysis, Porter Five Forces Analysis, PESTEL Analysis, VRIO analysis, Value Chain Analysis, BCG Matrix analysis, Ansoff Matrix analysis, and the Marketing Mix analysis, the recommendations and action plan are as follows:

• Coca-Cola in Vietnam should focus on making use of its strengths identified from the VRIO analysis to make the most of the opportunities identified from the PESTEL.
• Coca-Cola in Vietnam should enhance the value creating activities within its value chain.
• Coca-Cola in Vietnam should invest in its stars and cash cows, while getting rid of the dogs identified from the BCG Matrix analysis.
• To achieve its overall corporate and business level objectives, it should make use of the marketing mix tools to obtain desired results from its target market.

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COCA COLA VIETNAM ANALYSIS

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Step 1 - reading up harvard business review fundamentals on the technology & operations.

Even before you start reading a business case study just make sure that you have brushed up the Harvard Business Review (HBR) fundamentals on the Technology & Operations. Brushing up HBR fundamentals will provide a strong base for investigative reading. Often readers scan through the business case study without having a clear map in mind. This leads to unstructured learning process resulting in missed details and at worse wrong conclusions. Reading up the HBR fundamentals helps in sketching out business case study analysis and solution roadmap even before you start reading the case study. It also provides starting ideas as fundamentals often provide insight into some of the aspects that may not be covered in the business case study itself.

Step 2 - Reading the Coca-Cola in Vietnam HBR Case Study

To write an emphatic case study analysis and provide pragmatic and actionable solutions, you must have a strong grasps of the facts and the central problem of the HBR case study. Begin slowly - underline the details and sketch out the business case study description map. In some cases you will able to find the central problem in the beginning itself while in others it may be in the end in form of questions. Business case study paragraph by paragraph mapping will help you in organizing the information correctly and provide a clear guide to go back to the case study if you need further information. My case study strategy involves -

• Marking out the protagonist and key players in the case study from the very start.
• Drawing a motivation chart of the key players and their priorities from the case study description.
• Refine the central problem the protagonist is facing in the case and how it relates to the HBR fundamentals on the topic.
• Evaluate each detail in the case study in light of the HBR case study analysis core ideas.

Step 3 - Coca-Cola in Vietnam Case Study Analysis

Once you are comfortable with the details and objective of the business case study proceed forward to put some details into the analysis template. You can do business case study analysis by following Fern Fort University step by step instructions -

• Company history is provided in the first half of the case. You can use this history to draw a growth path and illustrate vision, mission and strategic objectives of the organization. Often history is provided in the case not only to provide a background to the problem but also provide the scope of the solution that you can write for the case study.
• HBR case studies provide anecdotal instances from managers and employees in the organization to give a feel of real situation on the ground. Use these instances and opinions to mark out the organization's culture, its people priorities & inhibitions.
• Make a time line of the events and issues in the case study. Time line can provide the clue for the next step in organization's journey. Time line also provides an insight into the progressive challenges the company is facing in the case study.

Step 4 - SWOT Analysis of Coca-Cola in Vietnam

Once you finished the case analysis, time line of the events and other critical details. Focus on the following -

• Zero down on the central problem and two to five related problems in the case study.
• Do the SWOT analysis of the Coca-Cola in Vietnam . SWOT analysis is a strategic tool to map out the strengths, weakness, opportunities and threats that a firm is facing.
• SWOT analysis and SWOT Matrix will help you to clearly mark out - Strengths Weakness Opportunities & Threats that the organization or manager is facing in the Coca-Cola in Vietnam
• SWOT analysis will also provide a priority list of problem to be solved.
• You can also do a weighted SWOT analysis of Coca-Cola in Vietnam HBR case study.

Step 5 - Porter 5 Forces / Strategic Analysis of Industry Analysis Coca-Cola in Vietnam

In our live classes we often come across business managers who pinpoint one problem in the case and build a case study analysis and solution around that singular point. Business environments are often complex and require holistic solutions. You should try to understand not only the organization but also the industry which the business operates in. Porter Five Forces is a strategic analysis tool that will help you in understanding the relative powers of the key players in the business case study and what sort of pragmatic and actionable case study solution is viable in the light of given facts.

Step 6 - PESTEL, PEST / STEP Analysis of Coca-Cola in Vietnam

Another way of understanding the external environment of the firm in Coca-Cola in Vietnam is to do a PESTEL - Political, Economic, Social, Technological, Environmental & Legal analysis of the environment the firm operates in. You should make a list of factors that have significant impact on the organization and factors that drive growth in the industry. You can even identify the source of firm's competitive advantage based on PESTEL analysis and Organization's Core Competencies.

Step 7 - Organizing & Prioritizing the Analysis into Coca-Cola in Vietnam Case Study Solution

Once you have developed multipronged approach and work out various suggestions based on the strategic tools. The next step is organizing the solution based on the requirement of the case. You can use the following strategy to organize the findings and suggestions.

• Build a corporate level strategy - organizing your findings and recommendations in a way to answer the larger strategic objective of the firm. It include using the analysis to answer the company's vision, mission and key objectives , and how your suggestions will take the company to next level in achieving those goals.
• Business Unit Level Solution - The case study may put you in a position of a marketing manager of a small brand. So instead of providing recommendations for overall company you need to specify the marketing objectives of that particular brand. You have to recommend business unit level recommendations. The scope of the recommendations will be limited to the particular unit but you have to take care of the fact that your recommendations are don't directly contradict the company's overall strategy. For example you can recommend a low cost strategy but the company core competency is design differentiation.
• Case study solutions can also provide recommendation for the business manager or leader described in the business case study.

Step 8 -Implementation Framework

The goal of the business case study is not only to identify problems and recommend solutions but also to provide a framework to implement those case study solutions. Implementation framework differentiates good case study solutions from great case study solutions. If you able to provide a detailed implementation framework then you have successfully achieved the following objectives -

• Detailed understanding of the case,
• Clarity of HBR case study fundamentals,
• Analyzed case details based on those fundamentals and
• Developed an ability to prioritize recommendations based on probability of their successful implementation.

Implementation framework helps in weeding out non actionable recommendations, resulting in awesome Coca-Cola in Vietnam case study solution.

Step 9 - Take a Break

Once you finished the case study implementation framework. Take a small break, grab a cup of coffee or whatever you like, go for a walk or just shoot some hoops.

Step 10 - Critically Examine Coca-Cola in Vietnam case study solution

After refreshing your mind, read your case study solution critically. When we are writing case study solution we often have details on our screen as well as in our head. This leads to either missing details or poor sentence structures. Once refreshed go through the case solution again - improve sentence structures and grammar, double check the numbers provided in your analysis and question your recommendations. Be very slow with this process as rushing through it leads to missing key details. Once done it is time to hit the attach button.

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Marketing Process Analysis

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• Coca-Cola in Vietnam
• Technology & Operations / MBA Resources

Introduction to Marketing Mix Analysis - Product, Price, Place Promotion

EMBA Pro Marketing Mix 4P Analysis for Coca-Cola in Vietnam case study

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Case Authors : Joel Goh, Ananth Raman

Topic : technology & operations, related areas :, emba pro marketing approach for coca-cola in vietnam.

At EMBA PRO , we provide corporate level professional Marketing Mix and Marketing Strategy solutions. Coca-Cola in Vietnam case study is a Harvard Business School (HBR) case study written by Joel Goh, Ananth Raman. The Coca-Cola in Vietnam (referred as “Vietnam Coca” from here on) case study provides evaluation & decision scenario in field of Technology & Operations. It also touches upon business topics such as - Marketing Mix, Product, Price, Place, Promotion, 4P, . Our immersive learning methodology from – case study discussions to simulations tools help MBA and EMBA professionals to - gain new insight, deepen their knowledge of the Technology & Operations field, Marketing Mix factors, Products related decisions, pricing strategies and more.

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Marketing Mix of Coca-Cola in Vietnam – Definition & Explanation

Neil Borden of Harvard Business School first used the term “Marketing Mix” to explain the set of activities that a firm uses to execute its marketing strategies. According to Neil Border, organizations blend the various elements of marketing mix into a marketing strategy that helps the organization to compete and developed a differentiated positioning in the market place.

The 12 core elements of Neil Borden Marketing Mix are -

Consolidation of 12 elements of marketing activities into 4ps of marketing mix.

Jerome McCarthy consolidated the 12 elements of marketing mix and other critical component into a simplified framework – 4Ps of Marketing Mix.

What are the 4P’s of Marketing Mix

The 4Ps of Marketing Mix are - 1. Product – The products Vietnam Coca is making or are in the pipeline to capture potential markets. 2. Price – Pricing strategy that Vietnam Coca is pursuing in various customer segments it is operating in. 3. Place (Channels of Distribution ) – Distribution mix of Vietnam Coca has taken a new dimension with the emergence of Online Retailing & domination of players such as Amazon. 4. Promotion (Communication Strategy of Vietnam Coca) – The emergence of social media and online advertising has changed the landscape of Vietnam Coca communication mix and communication strategy.

Products – 4Ps in Coca-Cola in Vietnam Case

In marketing strategy, product is not viewed as a tangible product, but the source of value to be delivered to the customers. Value to the customers of Vietnam Coca can be delivered in numerous ways such as – convenience of availability , installation and repair services, word of mouth references, point of sale equity, physical product , financing plans to purchase the products, quality assuring brand name, priming and pre purchase education provided by sales staff etc. These numerous ways to understand product concept provide marketing managers of Vietnam Coca an opportunity to differentiate its overall value proposition from that of the competitors.

4 Stages of Product Management as part of Marketing Process

Identification of Opportunity – Market research and customer research is done to identify the needs of the customers that Vietnam Coca can cater to with its present and acquired resources.

Design and Testing – Product is designed based on the value proposition that customers are seeking and one that Vietnam Coca can deliver. The key consideration regarding product design and testing are – customer value proposition, regulatory requirements, Vietnam Coca skills and resources, opportunities for differentiated positioning, and profitability.

Vietnam Coca Product Launch – It includes decision regarding pricing, communication strategy, distribution channel management, and building infrastructure to provide post purchase services.

Product Life Cycle Management of Vietnam Coca products – Once the product is launched the company needs to manage the life cycle of the product through its various stages such as – introduction, growth phase, cash cow stage, and finally decline stage.

Product Line Planning Decision

There are three major product line planning decisions that Vietnam Coca can take – Product Line Breadth decision, Product Line Length decision, and Product Line Depth decisions. Some of the considerations that marketing managers at companyname need to take while making product line decisions are –

1. How the new product brand launch will impact the overall brand equity of the Vietnam Coca present brands and products. For example often launching a no frill product may end up impacting the image of the company as an innovator in the field. This is one of the reason why Apple stopped selling its plastic phones as it negatively impacted the image of the company as a deliverer of superior hardware products.

2. Does the product launch or product extension launch satisfy potential customer needs and wants in a way that can deliver profits to the firm.

3. Will the product will be viewed completely different from the existing products of the firm and how much is the risk of cannibalization of the present brands by a new brand.

Product Line Breadth Decision for Vietnam Coca

As the position of Vietnam Coca in its industry well established it can expand to the adjacent segments where the customers are using complimentary products from other brands to get the maximum value out of the products.

Product Line Length of Vietnam Coca

The decision regarding product line has to be balanced between complexity of the present products and service required, and available niche space available in the market place. From my perspective at present Vietnam Coca should stick with the present merchandise mix rather than launching new products to expand the product line.

Product Line Depth of Vietnam Coca

These are decisions regarding how many different Stock Keeping Units (SKU) of a given product. For example Apple has its iPhone in various colors even though the hardware and software is the same.

Product - Broad Recommendations

1. Vietnam Coca can stop selling the products that are either not profitable or not creating enough differentiation from the existing products.

2. Vietnam Coca can think of ways - how features and value can be added to existing brands that help them in consolidating and increasing their market position.

3. Vietnam Coca can introduce a new brand in the existing product line or it can strive to establish a whole new product line.

4. Vietnam Coca can try to reposition the products from the existing brands within one line.

Pricing – 4Ps of Marketing Coca-Cola in Vietnam

Pricing is a highly complex activity and we will cover only a very limited aspect of what goes into pricing decisions. To a large extend pricing depends upon the other 3Ps of marketing – product, place and promotion. Conceptually perceived value is the maximum price a customer is willing to pay for Vietnam Coca product in the given competitive context.

Cost Base Pricing

Under cost based pricing strategy – Vietnam Coca can work out what it takes to produce the product and put a markup based on profit it wants earn. In a highly competitive strategy with dynamic pricing the strategy may not be feasible. For example Uber running losses in billions can provide lower prices and sustain compare to individual taxi service provider who is not backed by private equity and long term strategy.

Value Base Pricing

Value Base Pricing is a pricing strategy which is based on customer perception of value. It inculcates put the number on both tangible and intangible benefits with a clear understanding of elasticity of demand and competitive pressures.

Market Penetration Pricing

Vietnam Coca can employ this pricing strategy where it launch a new product either at loss or at very low margin to get a foothold in the segment.

Market Skimming Pricing

For certain well established brands, Vietnam Coca can increase the prices as customers can pay higher price.

Good Value Pricing

Offering right mix of product features, quality, and service combination at fair price. For example offering a limited frill option - customers can have initial product experience at an accessible price. GoPro use this strategy extensively.

Competition Based Pricing

The pricing strategy is based on the competition in the market. Under this strategy Vietnam Coca focus is to match the prices of the competitors and focus on reducing the cost of operations to increase profitability.

Pricing Recommendation

Based on the evidences at hand – we can choose the following pricing strategy High Brand Awareness – The brand of Vietnam Coca is well respected in the market so it can fetch a slight premium over the other competitive brands. Innovative Product – With advanced features the product is perceived as innovative in the current market context. A slight premium price will not only emphasize the features of the products but also stops other players entering into the present segment. A high premium price may attract new entrants and thus lower the profitability.

Place – Distribution Channels - 4Ps in Coca-Cola in Vietnam Case

Place or Distribution Channel is a set of processes through which Vietnam Coca delivers its products to the customers. Distribution & Marketing channels fulfill various purposes such as – after sales services and installation services, reducing purchase lot size thus enabling opportunities for individual customers to buy products, logistics, providing customers information about the products , providing product quality assurance, providing extensive product assortment using product line – breadth, length, and depth, easy availability of the products to end consumers ,and enabling product customization options at the point of sales.

Designing Channels of Distribution for Vietnam Coca

There are two major Channel of Distribution related decision criteria –

1. Channel Design

Vietnam Coca needs to choose whether it wants to implement a distribution system which is – Direct, Indirect, or Both. The channel design decision involves - understanding of customer value proposition, current customer convenience points, length breadth and depth of Vietnam Coca product line, and competitors’ distribution systems.

Direct Distribution System – Vietnam Coca putting its own direct distribution channel and reach directly to the customers. It can be through opening its own stores or just selling all the products online. Indirect Distribution System – Vietnam Coca including channel partners such as wholesalers, retailers, logistics companies, and distribution agents. Hybrid Distribution System – Vietnam Coca should implement a hybrid model where the critical aspect of distribution system are managed by Vietnam Coca, and secondary functions such as logistics, warehousing, store management etc are delegated to various channel partners.

2. Channel Management

Channel management is about managing various power centers within the delivery system and managing them based on bargaining power of each player in the value chain. The channel management from marketing perspective can be done considering three critical aspects –

Customer Willingness to Search & Travel to Purchase Good – If the customer willingness is high then company has a strong brand awareness and brand loyalty. Vietnam Coca can design favorable channel policies vis a vis channel partners.

Market Development Requirement – One of the most prominent functions of channel is market development. If Vietnam Coca needs higher market development efforts then it is sensible to include channel partners who have know how and skills to expand into new markets.

Per Unit Cost of Stocking – If the cost is high then Vietnam Coca needs channel partners which can pool in resources. Otherwise Vietnam Coca can do the operations on its own.

Promotion - Marketing Communication

Promotion Mix or Integrated Marketing Communication strategy is a mix of various promotion tools that are at disposal of Vietnam Coca. They are – Advertising, Sales Promotion, Personal Selling, Public Relations, and Direct Marketing. Vietnam Coca can use all these five communication tools to persuasively communicate to customer – existence of the product, price of the product, differentiating features of the product, places where people can buy the products, and finally how consumers can effectively use the products or services.

6M Model of Marketing Communication Strategy for Casename

With the increase importance of online advertising and social media role in product promotion, 6M Model of marketing communication has become a critical marketing tool in hands of marketing manager and promotion strategist to measure marketing efforts impact. The 6M of Marketing Communication Strategy Model are – Market – The target segment – current or potential, at which the marketing communication efforts are aimed at. Mission – What are the goals and Key Performance Indicators of the marketing communication strategy. Message – What are the specific aspects – brand awareness, product features etc, that Vietnam Coca wants to communicate to its target customers. Media – Which are the most effective media vehicle that Vietnam Coca can use to convey its message to its target market. Money – Like all other organizations, Vietnam Coca has limited marketing resources so it has to figure out how it needs to spend to get the best outcome based on specified objectives. Measurement – How is the promotion campaign impact is measured. It can vary from brand to brand within the organization. For example – new product campaign can be measured on spreading brand awareness, while existing product marketing campaign can be measured on repeat purchase or product recall.

Email Marketing for Vietnam Coca

Email Marketing is form a direct marketing approach that Vietnam Coca can take to directly reach out to its potential customers. Email Marketing can help the Vietnam Coca to reach out high probability prospects based on the data collected by the company using its kiosks, trade marketing, and customer survey.

Search Engine Marketing

Another popular form of advertising vehicle that has emerged in the last decade and half is search engine marketing where advertisements are shown to the customers based on their search history and browsing history. Like email advertising this can result in relevant advertising to high potential prospective customers who are already interested into products and looking for information regarding it.

5C Marketing Analysis of Coca-Cola in Vietnam

4p marketing analysis of coca-cola in vietnam, porter five forces analysis and solution of coca-cola in vietnam, porter value chain analysis and solution of coca-cola in vietnam, case memo & recommendation memo of coca-cola in vietnam, blue ocean analysis and solution of coca-cola in vietnam, marketing strategy and analysis coca-cola in vietnam, vrio /vrin analysis & solution of coca-cola in vietnam, pestel / step / pest analysis of coca-cola in vietnam, case study solution of coca-cola in vietnam, swot analysis and solution of coca-cola in vietnam, references & further readings.

Joel Goh, Ananth Raman (2018) , "Coca-Cola in Vietnam Harvard Business Review Case Study. Published by HBR Publications.

Kotler & Armstrong (2017) "Principles of Marketing Management Management", Published by Pearson Publications.

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• Open access
• Published: 09 May 2018

Corporate social responsibility (CSR) in Vietnam: a conceptual framework

• Minh Nguyen   ORCID: orcid.org/0000-0002-0738-0902 1 ,
• Jo Bensemann 1 &
• Stephen Kelly 1  

International Journal of Corporate Social Responsibility volume  3 , Article number:  9 ( 2018 ) Cite this article

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As the phenomenon of corporate social responsibility (CSR) establishes itself more globally, the question arises as to the nature of CSR in developing countries. Vietnam is one example of a developing country undergoing rapid economic growth coupled with societal challenges, driven by increased business activity. To date, however, there is a dearth of context-sensitive research on CSR in Vietnam, while the distinct political, economic, social and cultural context makes Vietnam an appropriate environment for critiquing the relevance of universal CSR theories in a local context. This paper provides a critical review of the peculiarities of the Vietnamese context, and proposes a conceptual framework consisting of three specific institutional level factors that potentially influence the nature of CSR in Vietnam. These contextual factors include tradition, political governance and modernity. In addition to emphasizing the context in which CSR is conceptualized and practiced, this paper also builds a theoretical foundation that aids in the development of CSR debates, in particular the parameters influencing CSR conceptualizations (CSR Thinking) and the implementation of CSR (CSR Doing) in Vietnam.

Introduction

The world is arguably witnessing a genuine change in public perceptions over the role of business in society. While business contributions to economic growth, wealth creation, and employment are a given, business is also being ascribed roles and a non-economic significance that may not have previously been expected. There are expectations that business will come up with solutions to many of the twenty-first century’s main social and environmental challenges, such as water accessibility, global warming, climate change, and affordable health care (Blowfield & Murray, 2014 ). In the midst of this shifting set of expectations, businesses worldwide face increasing pressure to adopt or improve corporate social responsibility (CSR) activities.

Emerging from the academic critique of CSR concepts and practices, there has been a growing recognition that CSR is a highly contextual and contingent concept (Davidson, 2016 ). Recent writings argue that given CSR is concerned with the responsibilities of businesses with regard to other actors in society, it needs to be studied in the context of where it is being practiced (Doh et al., 2016 ). However, context has not been extensively pursued in country studies of CSR (Örtenblad, 2016 ; Tilt, 2016 ). Davidson ( 2016 ), for example, found that many past studies cited and used theoretical models that are predominantly Western for CSR research in places such as India and China. Consequently, this brings into focus concerns and arguments against the applicability and transferability of frameworks and conclusions made in developed countries to those that are developing (Jamali & Karam, 2016 ).

In this paper, we develop a multilevel conceptual framework, consisting of three institutional contextual factors, namely tradition, political governance, and modernity, to understand the nature of CSR in Vietnam. While noting that institutional theory and Whitley’s National Business Systems (NBS) approach have been instrumental in grounding analyses of CSR antecedents at the institutional level of analysis (Brammer et al., 2012 ), we are also careful to acknowledge limitations that may be tied to the direct adoption of such frameworks for examining CSR in Vietnam. The foundational assumptions of these frameworks centralize the predominance of market-based forms of organization in liberal market economies, which are supported through coherent systems of governance, strong regulatory oversight, and enforcement of contractual rights (Jamali & Karam, 2016 ). However, these contextual institutional arrangements, as will be discussed in the next section, are not evident in the case of Vietnam, as they have had a history of dysfunctional markets, underlined by arbitrary law enforcement, bureaucratic inconsistency, and corruption (Vuong, 2014 ). Therefore, our paper seeks to refine and extend existing core theories in the CSR field by developing an alternative framework that is explicitly tied to the peculiar institutional constellations characteristic of Vietnam.

Our paper makes three important theoretical contributions. First, by contextualizing institutional thinking in the Vietnamese context, our model addresses and overcomes the complexity and inconsistencies of institutional theory which is believed to be lacking explanatory power of CSR-related phenomena in Vietnam (Tran & Jeppesen, 2016 ). Second, we capture the inherent complexity of context by incorporating a multilevel framework within the social context of CSR in our model. This, in turn, can provide a refined understanding of the individual and organizational beliefs, attitudes, and practices that possibly influence the interpretations of CSR and CSR-related behaviours in Vietnam. This also gives rise to our third contribution, which is the rich insight this study offers into the links between the nature of CSR and Vietnam’s traditional philosophical foundations, the evolution and structure of the Vietnamese economy, and its changing management systems. This effort then provides a fundamental foundation for future CSR discourse, in particular on parameters that explain CSR conceptualizations (CSR Thinking) and the implementation of CSR (CSR Doing) in Vietnam.

Theoretical approach, methods and scope of the study

Theoretically, this paper is underpinned by two particular standpoints. One is the institutional approach enabling CSR to be located in the context of an economy that has transformed from the classical socialist system, to a socialist market economy with considerable influence from the state. The second approach is symbolic-interactionism which is based on the premise that people act toward things based on their associated meaning, and these meanings are derived from social interaction and modified through interpretation (Blumer, 1986 ). This paradigm under social constructionism epistemology argues that the nature of CSR is not solely the result of institutional pressures but has been socially constructed and therefore, is open to negotiation and change (Hacking, 2003 ). In other words, both approaches suggest that CSR should be viewed as a situated phenomenon and its meanings are not fixed or inevitable as they are the product of historical events, social forces, and ideology.

It is also worth noting that the concept of CSR has had a long and diverse history in the literature, but there is no generally accepted definition of CSR (Cochran, 2007 ). This paper does not intend to adopt or defend a particular definition given this is outside the realm of the present scope. However, for the purpose of this paper, CSR is conceived as an umbrella term that captures the variety of ways in which business relationships with society are being defined, managed, and practiced (Frynas & Yamahaki, 2016 ).

This conceptual paper is based solely on a critical review and analysis of literature, and several methods were used to collect the data. First, using Google Scholar, we systematically searched for peer-reviewed journal articles and book chapters written in English related to the political, economic, social, and cultural context of Vietnam. Secondly, articles on CSR in general and CSR in Vietnam in particular were collected using three key business and management databases of scientific research, including Web of Science, Scopus, and Business Source Premier (EBSCO). As CSR has various synonyms or alternative labels, besides searching for the key terms, such as “corporate social responsibility” and “Vietnam” in the title, topic and/or abstracts, we also included the following CSR-related keywords, namely ‘corporate sustainability’, ‘corporate responsibility’, ‘stakeholder management’, ‘corporate social responsiveness’, ‘corporate social performance’ and ‘corporate citizenship’ in our search criteria. Our sampling of CSR research in Vietnam focused upon a purposive rather than exhaustive method, in favour of a thematically driven approach to literature inclusion and analysis. Thus, we constrained our search within a recent 17-year period, from 2000 to 2017 and all selected papers were double-checked to ensure that they were relevant to CSR. This type of review is consistent with other influential and widely cited reviews in the CSR literature (See for example, Crane & Glozer, 2016 ; Lockett, Moon, & Visser, 2006 ; Moon & Shen, 2010 ). However, it is worth noting that given the status of scientific publications on social sciences in Vietnam – a field often criticized for having low productivity (Ho et al., 2017 ), our data coverage is wider than the criteria employed by previous reviews as it allows for the significance and explanations of findings to be explored.

The main purpose of this process is not only to gather as much detail about the Vietnamese institutional context and its relationship to organizational structure and process, but to also gain insight into the development of the CSR literature in and relating to Vietnam. To maintain consistency in what we refer to as institutional level, we use a definition derived from institutional theory where institutions are defined as “social structures that have attained a high degree of resilience” (Scott, 2001 , p. 48). According to Scott’s institutional theory, we then adopted an iterative, constant comparison approach, discussing observations and identifying commonalities and divergences across and between the literature against the three pillars of institutions – cognitive, normative, and regulative – in order to explore and identify the key contextual factors and to further understanding about how they affect the nature of CSR in Vietnam.

In the next section, we provide a comprehensive review of the institutional settings in which Vietnamese management and organizations operate, and show that many foundational features, institutional relationships, and philosophical understandings that are found in Western cultures do not exist in the Vietnamese context. Following this, three key contextual factors derived from the political, economic, social and cultural context of Vietnam that show evidence or have the potential to shape the nature of CSR in Vietnam are suggested along with a conceptual framework. Finally, we discuss the processes of facilitation and resistance between those factors that further influence the development of CSR in Vietnam, before ending with some recommended areas for further research.

The Vietnamese context: A historical perspective

Socio-cultural context.

Vietnam is a multi-ethnic country with a complex culture. Throughout more than a thousand years, it was dominated by Chinese feudal dynasties then spent a century under French colonization (1858–1954), and finally 30 years under invasion from the United States. In the history of Vietnam, patriotism and nationalism have indeed played a vital role since early times, not only in the way that the country has managed to retain its own national identity in spite of enormous foreign influence, but also by providing social cohesion to hold the country together despite substantive cultural and other differences after a century of national fragmentation (Edwards & Phan, 2008 ).

Vietnamese culture has been strongly influenced by Indian culture through Theravada and Mahayana Buddhism; by Chinese ideologies and religious beliefs with the impact of Confucianism and Taoism (particularly in the North); and by the West with the coming of capitalism and Christianity (particularly in the South) (Rowley & Truong, 2009 ). In traditional Vietnam, the teachings from the triple religion of Buddhism, Confucianism and Taoism, together with Vietnamese folk religion strongly assert the centrality of nhan (humanity, humanness, benevolence) and other moral values, including that of reciprocity (do not do to others what you would not have them do to you) affirming the goodness of human nature, and promoting the cultivation of virtues (Jamieson, 1993 ). In essence, the fundamental virtues of Vietnamese tradition could be summed up in the four-syllable expression Tam cuong, ngu thuong (Three Bonds, Five Principles, in which the three bonds or relationships were Vua-Toi (king-subject), Cha-Con (parent-child), and Chong-Vo (husband-wife), while the five principles included Nhan (benevolent love); Nghia (righteousness); Le (propriety); Tri (wisdom); and Tin (faithfulness)).

In more recent times, the country has facilitated Western values which in many respects challenge traditional values and influence the way in which Vietnamese people think and behave, especially among the younger generation (McCargo, 2004 ). Some studies suggest that the Vietnamese socio-cultural context has recently moved away from its traditional values as an inevitable consequence of social developments (V. Tuan & Napier, 2000 ). However, this view fails to realize how deeply the core values of traditional Vietnam have remained embedded in the hearts of almost all Vietnamese (Vuong, 2014 ). As culture is well-established and stable rather than volatile, many scholars assert that the long-lasting cultural values still penetrate and persist at the deepest levels of contemporary society, and tradition is conceived as the root of various aspects of Vietnamese modern society, including beliefs, values, and underlying assumptions, as well as artefacts and personal behaviour (Kelley, 2006 ).

Politico-economic context

Vietnam is one of the world’s largest socialist states and it remains a one-party system led by the Communist Party of Vietnam (CPV) since 1975 (Gainsborough, 2010 ). Whilst liberalization of the economy has proceeded apace in Vietnam, it has been less the case in the political arena (McCargo, 2004 ). In essence, the political regime has not abandoned socialist legality, and despite the change in the global political situation in the last decade of the twentieth century, the government has solidly espoused Marxism-Leninism and Ho Chi Minh’s thoughts as the Party’s ideological foundation (Vuong, 2014 ).

The power of the party-state and its ideology are elaborated in different forms across most aspects of society in Vietnam. Firstly, the party-state asserts its legislative dominance to govern a complex society with socialist doctrine (Vu, 2010 ). The government has also played a prominent role in appointing its politically reliable members to managerial positions in both public administration and the state sector (Edwards & Phan, 2008 ). Therefore, the party leaders have cells in key aspects of society which consequently influence decision-making to favour socialist aspirations and serve the purpose of the ruling party (Vuong, 2014 ). Moreover, in the social sphere, party control is exercised through its official ideology. Most ideological thoughts have been ubiquitously communicated and propagandized by social organizations and associations (Gillespie & Nicholson, 2005 ). Such organizations act as transmitters of the party to maintain the fundamentals of socialist values in the provision of education, health services, and social security to promote social consensus and uphold the national unity (Edwards & Phan, 2014 ). Besides propaganda, the party-state continues to retain a tight control over the press through state-run media and by stifling dissent within the society which can alter its ideological hegemony (Gainsborough, 2010 ).

In terms of the economic context, Vietnam has undergone substantial transformation, thanks to the advent of comprehensive reforms. Looking back, following the reconstruction period (1976–1986) with a centrally planned economy, the economy has undergone two distinct periods of economic development. The period up until the year 2000 was characterized as the reform period ( Doi moi ) in which the government approved an ‘open door’ policy ( chinh sach mo cua ), implementing a more liberal and multi-sector market economy (Vuong, 2014 ). Put bluntly, this policy reversed the country’s decades of economic stagnation due to the failure of the Soviet model of economic management, and subsequently the collapse of Eastern European countries which had previously been the main source of economic aid (Edwards & Phan, 2008 ).

Since 2000, Vietnam has made a significant evolution of the Doi moi policy, resulting in the country’s increasing integration into the regional and global economy (Vuong, 2014 ). During this period, the party-state has passed legislation in investment and trade to foster private enterprises and foreign direct investments (FDIs) as reflected clearly in the establishment of the first stock market in 2000 and a series of bilateral trade agreements (Rowley & Truong, 2009 ). However, the development of the economy continues to be under state direction and with a socialist orientation. Possibly one of the features most characteristic of a socialist market economy is the maintenance of state-owned enterprises (SOEs) as the backbone of the economy (Vuong, 2014 ). In fact, these state conglomerates are both ideologically and economically indispensable, providing a steady income for the government, contributing to national prosperity, and strengthening the ideological hegemony (Ashwill & Diep, 2005 ).

Societal challenges and environmental issues

Though the reforms in Vietnam have led to tremendous economic growth, challenges and limitations in the implementation of the new economic policies remain. First and foremost, there is widespread concern over the deficiencies and low efficiencies in operations and management of SOEs, as evident in the numerous cases of SOE bankruptcy, including the high profile failure of Vinashin in 2010 (Edwards & Phan, 2014 ). Suffice to say this is one of the factors seriously hindering the continuation of economic liberalization and the creation of a free market economy in Vietnam (Vuong, 2014 ). Adding to these criticisms, state management and public administration systems are generally portrayed as excessively bureaucratic, leading to accusations of deception and corruption (Rowley & Truong, 2009 ). These issues coupled with weak legal enforcement have plagued businesses in Vietnam, and hindered the country’s development .

Ideologically in the transition to socialism, social equity is seen as central, yet there is an evident widening of the gap between ideology and practice. At a conceptual level, there has been an ideological tension in Vietnam given that the meanings ascribed to socialist values from the Marxist-Leninist canon have changed so much in an economy with capitalist components (Vuong, 2014 ). In essence the current economic activities in Vietnam have ignored and subverted the socialist ideology proclaimed by the party-state (Edwards & Phan, 2014 ). This has then resulted in other side effects on the environment and society. Perhaps one of the most tangible effects arising from rapid economic transformation in Vietnam is poor labour conditions and human rights abuses (Wang, 2005 ). Indeed, these social issues exacerbate the plight of many of the economically vulnerable in Vietnam and public outcry over allegations of such abuses by both multinational corporations (MNCs) and domestic firms has led to a number of strikes in the past decade (Phuong, 2017 ). Moreover, Vietnam currently faces an environmental crisis. Ortmann ( 2017 ), for example, asserts that waste and water pollution are becoming increasingly endemic in Vietnam stemming from the massive increase in population density, industrial activities and urban living.

Towards a conceptual framework of CSR in Vietnam

The above discussion outlines the context of Vietnam within which CSR has emerged. In this section, a conceptual framework to explain the nature of CSR in Vietnam is proposed (Fig.  1 ). In essence, this framework expands the model of Vietnamese management derived from the study of Edwards and Phan ( 2014 ) and builds upon the social context of CSR from the study of Athanasopoulou and Selsky ( 2015 ). Linking the two models in one conceptual framework potentially allows better understanding of the nature of CSR in the Vietnamese context.

Conceptual framework on the nature of CSR, adapted from Edwards and Phan ( 2014 ) and Athanasopoulou and Selsky ( 2015 ). (*) Please note: in comparison to the model of Edwards and Phan ( 2014 ), this study used the term ‘Governance’ instead of ‘Party-state’ for the universality of the model. Thus, this model may be generally applied as a lens for considering the nature of CSR in other developing countries

The first component of the model is the orange nucleus circle, representing the nature of CSR in Vietnam. From the theoretical lens of symbolic interactionism, our model starts with an assumption that CSR is a dynamic process of sense making, decision-making and implementation, and the mechanism determining how CSR is understood, manifested and implemented within an organization is strongly influenced by the social context in which business operates (Örtenblad, 2016 ). In essence, the logic of this thinking is that organizational entities reside in nested arrangements and their behaviours are the results of contextual influences emanating from different levels of social context (Rousseau & Fried, 2001 ). However, the definitions of social context and its multilevel systems are admittedly broad and vague (Tilt, 2016 ). Therefore, this study explicitly adapts the model of Athanasopoulou and Selsky ( 2015 ) in which the social context is represented in the three layers of circles surrounding the core component, namely the individual level , organizational context and external social context , to strengthen the conceptual foundations.

At the individual level , it is suggested by cognitive theory emerging from the field of social psychology that every individual has a mind-set, or a set of core ethical and moral values or beliefs, and they tend to use their core values as benchmarks – explicitly and implicitly – to shape their decisions, choices, and behaviour (Basak Ucanok, 2017 ). In this study, the individual level is concerned with a range of aspects related to individuals and their roles within organizations, particularly when it comes to organizational behaviour. Although the majority of previous work largely ignores the significance of individuals in shaping CSR (Frynas & Yamahaki, 2016 ), key individuals (e.g. managers, owners, and/or employees) in an organization are vital because they are those who make sense and take an active role in the initiation and development of CSR programs in their firms (Morsing & Perrini, 2009 ). Thus, individual-level variables such as personal norms (values), beliefs (e.g. religious orientations), and environmental concerns (needs), together with the cognitive and psychological processes of individuals (e.g. cognitive attitudes or behavioural intentions), might explain how key individuals in an organization perceive and determine which CSR initiatives to undertake, upgrade, reject, or abandon.

The second level of the social context in the model of Athanasopoulou and Selsky ( 2015 ) is the organizational context within which an organization interacts and negotiates with a broad set of stakeholders to proactively shape its CSR strategies (Basak Ucanok, 2017 ). In essence, all organisations exist with a purpose, and it is predominantly the case that the key purpose of any organisation is to generate profits and thrive economically. Once an organisation’s aims and objectives are laid out at its conception, it tends to engage in actions that underpin its mission and values, and CSR initiatives may derive from the self-interest of firms. At this level we turn our attention to those distinctive features of an organization relating to ownership, structure and governance, as well as mission, identity, organizational culture, and the relationship between the organization and its stakeholders to explain why CSR may be understood and enacted differently by organizations.

However, as every organization is embedded in an external social context , CSR decisions also need to be aligned with a set of other structural constraints in the environment within which they operate (Athanasopoulou & Selsky, 2015 ). Consequently, organizations tend to become isomorphic because CSR may be externally imposed upon an organization by the existence of political, economic, institutional, and societal dynamics (Basak Ucanok, 2017 ). According to Jamali and Karam ( 2016 ), the most prominent contextual factors at this level fall into three main categories: political system and governance; cultural system, society values and customs; and the business operating environment.

Besides its multi-level nature, social context often operates as a cross-level effect in which factors at one level of context affect variables at another level (Johns, 2006 ). In essence, the larger context within which lower-level processes are nested generally exerts a stronger downward influence, while the lower-level variables generally exert a weaker upward influence (Hitt et al., 2007 ). Consequently, what happens at one level cannot be explained thoroughly without considering the more encompassing or higher level effects.

In this study, the portrayal of context in our conceptual model also suggests that the nature of CSR is influenced by the processes of facilitation and resistance between factors at different levels of context. This is because, to some extent, a particular social contextual level does not always demand or support a business to take a particular CSR approach, and may even create obstacles in practice. For instance, when a company absorbs new information related to CSR, at the individual level business managers initially use their values to judge the usefulness of information before making decisions that can be in favour of or in opposition to a particular action. However, in the end, only responses that are in line with the organizational context and the external social context, are likely to be accepted into practice within business operations.

Given the broad and complex nature of context, trying to address all possible contextual factors at each of the three levels of context which possibly influence the nature of CSR in Vietnam is a gigantic endeavour. In this study, we channelled our efforts to propose three interlinked contextual factors associated with the external social context that may shape or predict the type or scope of CSR thinking and doing in Vietnam – namely tradition, modernity, and governance. For conceptualization purposes, these institutional contextual factors are derived from the model of Vietnamese management in the study of Edwards and Phan ( 2014 ) in which the authors took an outside-in approach to investigate the institutional environment and relationships between the state, managers and employees in Vietnam. The authors showed how Vietnamese management has been adept at absorbing, adapting and assimilating foreign ideas in business and management to meet the particular circumstances of Vietnam and to retain its distinctive Vietnamese identity. To provide a more detailed explanation on the relevance of Edwards and Phan’s model to CSR discourses in Vietnam, we will discuss each force and its elements in turn.

Tradition , by definition, comprises ethical beliefs and values which are instilled in a person from birth, arising from both religion and philosophical standards, and cultural values and norms (Jamieson, 1993 ). Scholars have argued that before CSR migrated to a developing country context, there was a long-standing ethical tradition with distinctive connotations of responsible business behaviour (Visser et al., 2008 ). In Vietnam, tradition, classified as the soul of the country, has a certain impact on the way members think and behave within a society so we suggest tradition is one of the key influencers of the nature of CSR in Vietnam. Based on our analysis, tradition factors include key elements such as Confucian values, religious beliefs, and the persisting influence of familialism and nationalism.

Having been reaffirmed and reinforced in myriad ways through family teaching, folktales, and proverbs for centuries, Confucianism has served as the epistemological foundation to bring morality and harmony in Vietnamese society (Kelley, 2006 ). Despite its roots in ancient Chinese philosophy, in Vietnam Confucianism has incorporated indigenous beliefs and norms, establishing a core set of personal attributes and obligations with the greatest emphasis upon harmonious human relationships (Whitmore, 1984 ). In their studies, Edwards and Phan ( 2014 ) illustrated the influence of Confucianism in current Vietnamese business management where everyone has an obligation to cultivate themselves morally, to demonstrate filial piety and loyalty, and to act with benevolence towards their fellow members. According to Confucian teachings, this study suggests that several prominent Confucian values pre-emptively influence CSR conceptualizations and the implementation of CSR in Vietnam [see Table  1 ].

Religion is another element in tradition and among a range of alternative religious beliefs, Buddhism plays a pervasive and vital role in establishing individual and social ethical standards of value (McHale, 2004 ). Although Vietnam is not considered a Buddhist country in any sociologically meaningful sense, moral instructions of the Buddha are believed to guide virtually all Vietnamese to the true value and legitimacy of their actions and help them to distinguish right from wrong (Caldarola, 2011 ). For example, as part of Buddhist teachings, the logic of the karma doctrine under a cosmological view on the power of natural order points out that people should live with morality, demonstrating compassionate, benevolent and virtuous behaviour that will be rewarded and bring good luck (McHale, 2004 ). This logic has motivated followers to practice generosity through charity or donation and encourages self-correction in behaviour (Chi et al., 2008 ). As reflected in business practices, CSR literature in Vietnam found that domestic enterprises in Vietnam provided charity for the poor, donated to local religious events, and offered no-interest loans and 13th month wage bonuses to employees on the Lunar New Year (Tran & Jeppesen, 2016 ).

In Vietnamese tradition, cultural values and norms are also molded by familialism and nationalism, and it is well recognized that Vietnamese people are collectivists in general and they are socialized to strive for the nation’s interests (Rowley & Truong, 2009 ). Thus, public generosity and collective actions are common in Vietnamese society. For example, Vietnamese firms are found to actively participate in community investment to help alleviate various social ills, such as a lack of sufficient funding for educational institutions, national poverty, social inequality, and illiteracy (C. L. Hoang, 2015 ). In essence, these community embeddedness activities inculcate the willingness to enhance social cohesion by considering communities in the sense of larger families and treating others as family members. Thus, to some extent religious beliefs from Buddhism and cultural norms and values from familialism and nationalism may explain a pragmatic re-conception of CSR in Vietnam as philanthropic responsibilities.

(political) governance

Given the party-state’s persistent endeavours to maintain its authority, any studies dismissing references to socialism as mere rhetoric may probably result in a deficient analysis of the situation in Vietnam. Indeed, the dividing line between the promotion of capitalism for economic growth and the threat of inequality and exploitation (also referred to as capitalism’s Achilles heel in Baker, as cited in Blowfield & Murray, 2014 ) can be found in CSR (Tonkin, 1997 ). Thus, during the economic liberalisation period presently in Vietnam, there is evidence showing that the party-state continues to use a variety of tools to maintain socialist values which potentially influence the nature of CSR. Generally, our study suggests that political governance forces may embrace three main elements that include official political ideology, state administration, and legislation and standards.

As outlined earlier, socialist precepts are closed official epistemological frameworks that bind society, although the recent reforms have transformed Vietnam into a market-driven economy. Indeed, during the period of changing social stratification order, there is evidence that the party-state still attempts to govern business practices in line with its official ideology (Edwards & Phan, 2008 ). Despite the increasing diminution of state ownership, the government retains prerogative powers through dominant shareholder right and the ability to appoint key positions in joint stock companies operating in key industrial sectors (Vuong, 2014 ). This suggests that the government can influence business decisions in SOEs to follow the Party line to achieve social harmony. For example, many SOEs are found to represent the government and invest in community projects to provide more favourable conditions in infrastructure, healthcare, and education in remote areas (Phuc & Crase, 2011 ). These kinds of activities demonstrate that socially responsible projects of SOEs, generally speaking, could be considered as a means to maintain the regime’s legitimacy while also sustaining economic growth.

In addition, the government is found to promote and convey an orthodox ideology in their state administration (Abuza, 2001 ). This can be observed in the inclusion of the Women’s Union, the Trade Union and the Ho Chi Minh Youth Union in the administrative structure of SOEs and government agencies. Traditionally, these social and political mass organizations have served the government as a tool to propagandize and reach certain parts of society, but for certain aspects, they are also to protect the rights of women, workers, and youth (Ortmann, 2017 ). Given their close relationship with local communities, these mass organizations together with religious groups have also actively participated in environmental and social activities (Parenteau & Thong, 2005 ).

In tandem with political and social pressures, the party-state also exercises its policymaking dominance via legislation and standards. In certain vital respects, the country has fairly comprehensive environmental protection regulations (Ortmann, 2017 ), and the state policies and legislation generally aim to protect the working class from exploitation and provide a social safety-net for the poor (Rodan et al., 2001 ). Thus, this element is expected to act as a means to reinforce legal compliance of corporations and eventually CSR practices as more rigorous regulations on environmental protection or labour standards for safety practices could be predicted (Tran, 2011 ).

However, there is evidence of weak legal enforcement and issues around implementation by authorities at different levels, stemming from the lax supervision of the central government to the bureaucratic administration of ministries and local governments (Gillespie & Nicholson, 2005 ). Yet at the same time, it is believed that the law by itself cannot define everything that society currently expects companies to take responsibility for (Blowfield & Murray, 2014 ). Consequently, the need for other efficient facilitators of the development of CSR is pronounced in Vietnam since the gaps in society are widening and society’s needs have exceeded the capabilities of governments to fulfil (Kabir & Thai, 2017 ).

Vietnamese society has been undergoing rapid change since 1986, and the recent rise in modernity is beginning to challenge the traditional view of the relationship between business and society. Our study suggests modernity factors including the influences of globalization may have played a significant role in influencing the nature of CSR in Vietnam. These factors cover fundamental changes in economic, ethical, political and cultural aspects of society which may steam from the continuing pressures from the rise of internationalism, global environmentalism, market liberalisation, and changes in social trends, technology, and education.

In Vietnam, the concept of CSR has been introduced from the top down by western governments, MNCs, and international and transnational organizations since 2002 (Hamm, 2012 ). This was through the implementation of Codes of Conduct or in the form of social standard requirements (Brown, 2017 ; Wang, 2005 ). Since the introduction of CSR to Vietnam, many domestic enterprises have been found to mimic, promote and expand CSR in their policies to gain competitive advantages and in return for access to the global market (Lee, 2016 ; Newman et al., 2018 ). Recently, non-governmental organizations (NGOs) have also been collaborating with the government statutory bodies such as The Chamber of Commerce and Industry of Vietnam (VCCI), and Ministry of Labour, War Invalids and Social Affairs to promote business practices in Vietnam in accordance with international laws and regulations, particularly in the garment industry (Lim et al., 2017 ; Ya Hui & Hoa, 2016 ). Consequently, new industry standards in business practices are being developed (Newman et al., 2018 ), and it is worth noting that social expectation about business responsibilities has changed gradually, requiring Vietnamese companies to manage their relations within society in a new way (Anner, 2012 ; Tran & Jeppesen, 2016 ).

Meanwhile, aspiring to further integrate into the global economy, the Vietnamese government has been pressured to participate in global CSR initiatives because there has been a call for greater regulation and supervision of governments on business self-interest practices worldwide (Newman et al., 2018 ). For example, in more recent trade and investment agreements, particularly the Trans-Pacific Partnership, Vietnam, as a member, has committed to encouraging enterprises operating within its territory to voluntarily incorporate CSR into their policies, and to actively fill legislation gaps in compliance with international standards on issues associated with labour rights and environmental deterioration (Peels et al., 2016 ). These legislative changes are expected to gradually facilitate the development of CSR among businesses in Vietnam.

The recent greater openness of Vietnamese society to foreign influences associated with the wide flows of socially responsible ideas and practices can also be considered to be another CSR facilitating factor. For example, thanks to global integration and technology development, many Vietnamese have been exposed to international education opportunities and western concepts, and this new experience has opened young people’s eyes to different perspectives on global issues such as business ethics, gender equality, work-life balance, slavery, and climate change (Edwards & Phan, 2014 ). This might eventually become a driving force for change in social and business attitudes related to CSR.

The above discussion demonstrates that these transitions are beneficial not only to society but also to business by bringing new ideas and opportunities. But when thinking about such positive changes, one should be alert to the negative impacts of globalization that are seldom mentioned, especially when many free-market assumptions that underpin the business-society relationship no longer hold in a developing country like Vietnam.

To economists, globalization is the global spread of liberal and capitalist economic ideas, notably the creation of a global market built on free trade (Blowfield & Murray, 2014 ). Taking a historical perspective, since 1986, in Vietnam together with the emergence of MNCs, private enterprises have also flourished and the size of SOEs has grown significantly, encouraging a belief that economic growth could be the ultimate guarantor of the public good through the provision of employment, goods and services, and wealth. However, it is worthwhile to refer back to Milton Friedman’s famous statement on the social responsibility of business to understand that businesses are motivated primarily by the expectation of profit and capital appreciation, thus reflecting the interests of their shareholders.

In fact, given a robust spirit of pragmatism and the weakness of the legal system, business scandals associated with the market economy (also referred to as crony capitalism in Vuong, 2014 ) are still common in Vietnam. For example, both multinational and local corporations operating in Vietnam have long been criticized for playing a part in the process of deregulation, avoiding or evading taxes, as in the case of Coca-Cola in 2012 (Iyer, 2013 ); causing environmental pollution, as evident in Formosa in 2016 (Ortmann, 2017 ); paying low wages for long working hours and other abusive practices, as in the case of Nike in 1997 (Greenhouse, 1997 ); signing contracts containing unfair terms with local suppliers along the global supply chains (Tencati et al., 2010 ); and showing lack of responsibility to customers, as in the case of VN Pharma for importing counterfeit medicine in 2017 (Tuoi Tre News, 2017 ). Therefore, engagement with CSR amongst business in Vietnam has been criticized as spontaneous and symbolic; possibly to mask and mitigate their noncompliance with fundamental principles and basic tenets of CSR (Anner, 2012 ; Bilowol & Doan, 2015 ).

Critics also assert that market liberalization has in some respects increased the scope of corporate influence, raising fear about unfettered corporate power to stifle competition which indeed distorts the rational functioning of free markets (Blowfield & Murray, 2014 ). Power asymmetries that favour corporations may also mean that they can unduly influence public policy, may be inclined to protect capital and corporate assets over other socially disadvantaged groups of society that widen disparities in society and also diminish social benefits. As an example, business has been accused of interfering in government policies regarding empowerment issues such as freedom of association and collective bargaining in Vietnam (Anner, 2012 ; Wang, 2005 ).

The processes of facilitation and resistance

It has been noted that institutions are not independent factors, but instead interact with each other (Brinkerhoff et al., 2008 ). Edwards and Phan’s ( 2014 ) study, for example, illustrates the tension between tradition and modernity which has been mediated by the party-state to explain the difficulties of transferring foreign concepts and practices to Vietnam. In this study, given CSR is a multifaceted concept, we also suggest that there is an interconnection between the three institutional factors of modernity, governance, and tradition as reflected in the portrayal of context in our conceptual model. In this sense, each factor can act as either facilitators of or constraints on the development of CSR in Vietnam. For example, as shown above, many traditional Vietnamese values may have been a driving force for the philanthropic aspect of CSR (Bilowol & Doan, 2015 ), but have also likely acted as barriers to the introduction of international CSR practices, such as in relation to gender equality (D. Hoang & Jones, 2012 ) or occupational health and safety (Brown, 2017 ). Therefore, the interplay between different institutions has functioned as part of a continuous assimilation and adaptation process of CSR concept to the particular circumstances of Vietnam.

Recognizing the embeddedness of the social context, this study also illustrates that the degree to which either modernity, governance or tradition predominate and influence the conceptualization and implementation of CSR depends on the strength of the respective force in a particular social contextual level. Although there is no clear-cut distinction in CSR practices between different organizational types, thus making it difficult to generalize, before concluding, this study inductively compares and contrasts the dominance of each force, according to firm ownership [see Table  2 ]. We also discuss some systematic examples of how salient contextual factors may counteract others, thus limiting their effects in each type of firm.

In the case of SOEs, as the political governance tends to exert strong influence on business operations, reflecting the fact that socialist ideology in Vietnam is still pervasive, we suggest that the strength of the governance force is dominant and SOEs are more likely to undertake socially responsible activities that address certain community issues to achieve social equity. For private domestic small and medium sized enterprises (SMEs), the concept of CSR may be relatively new to the business agenda. Therefore, besides shortages of financial resources, a deficiency of local understanding of CSR (as influenced by tradition ) may act as the major disincentive and obstacle for the implementation of CSR. For example, instead of prioritising environmental CSR initiatives to get CSR standard certifications, domestic SMEs are found to focus on philanthropic activities that are more visible (explicit) and eventually have greater reputational gains (Diem Hang & Ferguson, 2016 ; Thi Lan Huong, 2010 ).

However, as Vietnam is moving towards greater international economic integration, many Vietnamese firms when operating outside of Vietnam (Vietnamese corporations with international operations - VNCI) are required to comply with social and environmental standards which are a precondition for global business engagement. Thus, VNCIs are facing a higher exposure to regulations and scrutiny from stakeholders such as foreign partners, international auditors, or NGOs and thus pressure to adopt international CSR practices (Tran & Jeppesen, 2016 ). Finally, for MNCs operating in Vietnam, besides complying with international standards, they also have to adapt and assimilate their CSR practices to the particular circumstances of Vietnam. For example, they are found to acknowledge and ultimately find a way to respect and implement CSR projects supporting the Buddhist or socialist beliefs of their Vietnamese employees, partners, and authorities (Bilowol & Doan, 2015 ).

Conclusion and future research agenda

There is no doubt that the field of CSR is in a state of emergence with new frameworks constantly being proposed (Athanasopoulou & Selsky, 2015 ). Our paper has contributed to that progress by proposing a conceptual framework that includes three specific institutional contextual factors that arguably influence the nature of CSR in Vietnam. There is a dearth of context-sensitive research on CSR in Vietnam, with existing studies tending to rely on theories and frameworks developed from studies undertaken in the West for their investigation (Thang & Fassin, 2017 ; L. T. Tuan, 2017 ). However, as the concept of CSR is not well defined in Vietnam (Tran & Jeppesen, 2016 ) and it is apparent that the foundational assumptions of these western frameworks may not hold up in the Vietnamese context, we argue that any examination of CSR in Vietnam without contextualisation could perpetuate superficial understanding of CSR and may yield invalid results. Therefore, a major tenet of this paper is that the novelty of the context may challenge the universality of existing CSR models and theories, with this proposition explicitly proposing that the peculiarities of context determine the boundaries and transferability of CSR theories and models.

Our conceptual framework carries important practical implications. First, by noting the multi-level and interlinked nature of social context, our study draws a meaningful picture of the nature of CSR in Vietnam and channels attention to the importance of multi-level analysis as a means of gaining a deeper understanding of how CSR should be practiced in Vietnam. This study, in turn, can help authorities to understand how the business operating environment may shape CSR decisions and managers to identify the ways to manage the interplay between forces at a particular social contextual level more effectively. Moreover, this paper serves as a call for management educators in Vietnam to strive to ascertain how a Western phenomenon, such as CSR, is relevant, applicable, and conceptualized within the context of Vietnamese management.

Future investigation of CSR in Vietnam can proceed from diverse perspectives so that more context-sensitive and multilevel CSR research can emerge. Firstly, future research might make use of our framework to test which factors, studied by which perspectives in different organizational types, have more pervasive influences on the nature of CSR. Secondly, although some general studies of national culture and CSR in Vietnam using Hofstede’s cultural typology exist (Nguyen & Truong, 2016 ), researchers might go beyond the use of Hofstede, looking at the relationship between CSR and a variety of social movements (transformational and transnational education) or a collective of cultural values in Vietnam (such as nationalism and familialism) to develop a more comprehensive framework of CSR. Moreover, philosophical research may examine the influence of the triple religion in Vietnam (Buddhism, Confucianism and Daoism) on the nature of CSR, while political science research may be interested in examining potential positive and negative impacts of the official ideology (such as Marxism–Leninism and Ho Chi Minh’s thoughts) on CSR thinking and doing in Vietnam during the transition period towards sustainable development in Vietnam. These kinds of examination could potentially fill a gap in knowledge about the role of religion, socialist ideology, and hegemonic regimes on CSR. Last but not least, it has been pointed out that in most studies of CSR, researchers employ a static cohort design that ignores contextual influence that varies with time (Tilt, 2016 ). As CSR practices and its underpinnings are not constant, longitudinal research on Vietnamese economic development could provide rich background on the development of CSR in Vietnam, reflecting how fundamental changes in business operating systems might affect the way in which organizations manage their relations within society. By drawing from a wide range of views, CSR scholars in Vietnam may provide some unique contributions that take the literature of CSR into new and interesting directions.

Abbreviations

Communist Party of Vietnam

Corporate Social Responsibility

Multinational Corporation

Non-governmental organization

Small and medium sized enterprise

State-owned enterprise

The Chamber of Commerce and Industry of Vietnam

Vietnamese corporations with international operation

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Acknowledgements

We wish to thank the anonymous reviewers for their suggestions and comments. Following the suggestions, we included several improvements in the manuscript.

The authors received financial support for the research, authorship, and publication of this article from the Ministry of Education and Training of Vietnam, the School of Management, Massey University, and the Cologne Business School. The funders had no role in study design, data collection and analysis, decision to publish, or preparation of the manuscript.

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Minh Nguyen is a Ph.D. student in the School of Management, Massey University. His current research focuses on Corporate Social Responsibility research in context and the motivations towards CSR practices among SMEs in a developing country context.

Dr. Jo Bensemann is Associate Head of School in the School of Management in the College of Business at Massey University (Manawatu campus). Jo has published in the area of small business management and entrepreneurship, innovation and creativity.

Prof Stephen Kelly is Head of School in the School of Management in the College of Business at Massey University. Stephen has published over 70 refereed articles, and maintained a research focus on marketing and enterprise development.

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Nguyen, M., Bensemann, J. & Kelly, S. Corporate social responsibility (CSR) in Vietnam: a conceptual framework. Int J Corporate Soc Responsibility 3 , 9 (2018). https://doi.org/10.1186/s40991-018-0032-5

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Coca Cola In Vietnam Case Porter’s Five Forces Analysis

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Coca Cola In Vietnam Case Study Analysis

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Competitor Analysis

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